the price of gold up on thursday. As reported the strategists of TD Securities, bets on rate hikes by the Federal Reserve have not limited to the yellow metal.
Below $1,920, more CTA buying activity is unlikely
“Gold prices have not made new lows ahead of this week’s jobs report and have instead traded incredibly resiliently as rate markets anticipate a sharp hike in the terminal rate to 5.65%. , with 43 basis points of gains forecast for March (72% chance of a 50 basis point gain) This continues to underscore that substantial physical inflows into the gold markets have more than offset investor outflows in recent months. .”
“In response to the resilient price action, trend-following CTAs may already be ready to marginally add to their Gold long this session, but more substantial CTA buying activity below the 1,920 signal is unlikely. Still, substantial sell flows are equally unlikely until prices break below the $1,710 signal, suggesting that CTA flows may take a back seat to the yellow metal for the time being.”
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
